Due to the difference in the interest rate and the quarterly compounding, Joshua will have $212.24 more than Josiah. Step-by-step explanation: Giving the following information: Joshua: Initial investment (PV)= $750 Interest rate (i)= 0.0341/4= 0.008525 Number of periods (n)= 18*4= 72 quarters Josiah: Initial investment (PV)= $750 Interest rate (i)= 0.0285 Number of periods (n)= 18 years To calculate the future value of each one, we need to use the following formula: FV= PV*(1 + i)^n Joshua: FV= 750*(1.008525^72) FV= $1,381.98 Josiah: FV= 750*(1.0285^18) FV= $1,169.74 Due to the difference in the interest rate and the quarterly compounding, Joshua will have $212.24 more than Josiah.
4/8 is the correct answer for this question. This is why. If you take 8 and divide it in half, your answer will be 4. Also because fractions are division so the fraction 8/2 equals 4. This means the 1/2 mark is equal to 4.
In line with the principle of rational expectations, expectation errors are unpredictable. The expectations of all available information will not differ from the optimal projections.The word optimal projection is inexorably intertwined with the best guess in rational expectations theory.
